How much contents insurance do you need?

Imagine if you came home one day and everything – and I mean everything – inside the house had vanished. All that was left were bare rooms and a stunned look on your face. Radical as it may seem, when it comes to possessions, starting with an imaginary clean slate is a good idea because it forces you to think about what you really do value. Then, as you move through each room of the home, you can mentally note what furnishings and contents should go where and how much it would cost if you had to buy all new replacements right now.

Scary thought!

This immediately translates to how much you should insure the contents of your home for. Most people do a blanket “guesstimate” and then leave their contents policy as is for years on end – completely forgetting about all those new and improved gadgets, goods and furnishings they buy in the meantime.

It can be overwhelming thinking about everything that is in your home so breaking it down to a room-by-room inventory is an easier concept for most of us. You also need to work on replacement value, not on what the item is currently worth. For example, your couch might be quite old and might sell for $50 on Gumtre but the replacement cost for a similar couch might be $700.

Here are some thought starters to help you make an accurate list, with the eventual aim being to arrive at a contents insurance figure you are happy with and one that won’t fall way short if the worst happens.

Contents to insure in your kitchen

Fridge/freezer

Freestanding stove

Microwave oven

Toaster/slow cooker

Coffee maker/juicer

Other electrical items

Crockery/cutlery/glassware/pots/pans

Kitchen table/chairs/stools

Kitchen dresser

Food in pantry or fridge

Window blinds/curtains/floor mats

Plus don’t forget things like:

Wall artwork or clocks

Recipe books

Any other unique furnishings

Cleaning products/tea towels (yes, tea towels)

Table/chairs

Buffet unit

Servery

Drinks trolley

Contents to insure in your dining room

Plus don’t forget things like:

Framed artwork

Decorative pieces such as hand-forged candelabra

Tablecloths and runners

Designer floor rugs

Accent floor or table lamp

Lounge, of course – is it leather, fabric, reclining, with or without matching chairs?

Jewellery is often kept in a bedroom. What type and quantities of jewellery do you have?

Don’t forget the bed linen and doonas that were already on the made-up beds

Dressing gowns hanging up behind doors?

Toiletries in cupboards

Towel sets in use and stored

Freestanding furniture

Mats

Window drapes

Wall art

Decorator display pieces

Contents to insure in your bathroom(s)

Plus don’t forget things like:

Bathroom cleaning products, including brooms

Pot plants

Shower curtains

Toilet roll supply

Contents to insure outside

It can be easy to forget all those (often expensive) outdoor items when we’re calculating contents insurance, but as a starter think about:

Tools in the shed

Bikes, scooters, camping equipment, sports equipment

Car parts and other accessories in the shed

Pot plans

Barbeque

Deck chairs and other furniture

Hoses and fittings

Pretty much anything else you keep outside that could possibly be carried away.

There are countless other room configurations a home may have. For instance, your family may well relax in a Hollywood-style home theatre/media room. You may place great importance on playing pool in a specially set up “bar”. You might have a well-equipped home office with the latest computer gear. A veranda will be furnished just right according to your taste. Each room is special in a way that means a lot to the individual owner and that’s why there’s no hard and fast rule for everyone and everything.

And then there’s the garage/storage room which is likely to be used as a junk dumping room. When doing an inventory of important items you can’t live without and would like to insure, this is the time to go through that “problem” room and sort out what you want to keep and what you want to give to charity. After a thorough cleanout, you’re likely to be left with tools, bikes, storage units, table, stools, even a couch – important stuff you value and will use.

After you have compiled your spreadsheet of what each room actually contains, think about the bigger picture. Do you opt for minimal furnishings in each room, prefer a comprehensively furnished look that’s not cluttered, or go for extensive furnishing where most storage space is full? Are you fussy about brands and quality joinery or just as happy with self-assembly no name brands?

Oh, and one last thing you must not forget to add to your list under any circumstance – the vacuum cleaner. With the effectiveness, not to mention cost, of high-end vacuum cleaners these days, you will miss this hard worker if you can’t afford to replace it.

To our knowledge, all information in articles on the Canstar Blue website was correct at the time of publication. This information may have changed over time. Refer to the product fact sheet (or relevant similar documentation) before making any purchase decision. Canstar Blue's website terms and conditions apply.